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SB-994 • 2026

Local agencies: nondisclosure agreements.

Local agencies: nondisclosure agreements.

Education Labor
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Cabaldon
Last action
2026-04-23
Official status
Read second time and amended. Re-referred to Com. on APPR.
Effective date
Not listed

Plain English Breakdown

The bill summary and digest do not provide specific details on how the law will be enforced or what penalties might apply for violations.

Local Agencies: Nondisclosure Agreements

This law prohibits local government officials from entering into nondisclosure agreements that prevent them from sharing information with their colleagues about public business.

What This Bill Does

  • Prohibits local government officials from entering into nondisclosure agreements that prevent the sharing of information related to public business among fellow officials serving on the same council, board, commission, district, or agency.
  • Makes any such nondisclosure agreement entered after January 1, 2027, void and unenforceable.
  • Requires local government officials who violate this rule to disclose the existence of these agreements.
  • Applies similar rules to staff members working for local agencies when dealing with their superiors or governing bodies.
  • Provides exceptions for nondisclosure agreements that protect trade secrets, financial information, or proprietary data.

Who It Names or Affects

  • Local government officials and employees who work in city, county, special district, or educational agency roles.

Terms To Know

Nondisclosure Agreement
A legal contract where a person agrees not to share certain information with others.
Local Government Official
An elected or appointed official who works for a city, county, special district, or educational agency.

Limits and Unknowns

  • The law does not apply to local government officials working in charter cities or counties.
  • It imposes new duties on local government officials and may require state reimbursement for any additional costs this creates for local agencies.

Bill History

  1. 2026-04-23 California Legislative Information

    Read second time and amended. Re-referred to Com. on APPR.

  2. 2026-04-22 California Legislative Information

    From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (April 22).

  3. 2026-04-09 California Legislative Information

    Set for hearing April 22.

  4. 2026-03-24 California Legislative Information

    From committee: Do pass and re-refer to Com. on L. GOV. with recommendation: To consent calendar. (Ayes 12. Noes 0. Page 3659.) (March 24). Re-referred to Com. on L. GOV.

  5. 2026-03-16 California Legislative Information

    Set for hearing March 24.

  6. 2026-02-18 California Legislative Information

    Referred to Coms. on JUD. and L. GOV.

  7. 2026-02-09 California Legislative Information

    From printer. May be acted upon on or after March 8.

  8. 2026-02-05 California Legislative Information

    Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 994, as amended, Cabaldon.
Local
government:
agencies:
nondisclosure agreements.
Existing law, the legislative code of ethics, prohibits Members of the Legislature from entering into, or requesting that another party enter into, a nondisclosure agreement relating to the drafting, negotiation, or discussion of proposed legislation. Existing law also makes any nondisclosure agreement relating to the drafting, negotiation, or discussion of proposed legislation entered into after January 1, 2026, void and unenforceable. Existing law provides an exception for nondisclosure agreements, or portions thereof, that prevent only the disclosure of trade secrets, financial information, or proprietary information, as specified.
This bill would prohibit a local
government official
agency official, as defined,
acting in their official capacity from entering into, or requesting that another individual enter into, a nondisclosure agreement relating to public business that precludes their ability to share information with fellow local
government
agency
officials serving on the same council, board, commission, district, or agency. The bill would require a local
government
agency
official in violation of that provision to, among other things, disclose the existence of the nondisclosure agreement, as specified, and would provide that these requirements imposed on a local
government
agency
official also apply to a local
government
agency
official acting in their official capacity who entered into, or requested that another individual enter into, a nondisclosure agreement described above before January 1, 2027. By imposing additional duties on local
government
agency
officials, the bill would impose a state-mandated local program. The bill would also make any nondisclosure agreement relating to public business that precludes the ability of a local
government
agency
official to share information with fellow local
government
agency
officials serving on the same council, board, commission, district, or agency and that is entered into after January 1, 2027, void and unenforceable.
The bill would prohibit
staff of
an employee of a local agency or
a local
government
agency
official acting in their official capacity from
entering into, or requesting that another individual enter into, a nondisclosure agreement relating to public business that precludes their ability to share information with the local
government
agency
official who they serve
under.
or the governing body of the local agency that employs them.
The bill would also make any nondisclosure agreement relating to public business that precludes the ability of
any staff of
a local
government
agency
official acting in their official capacity to share information with the local
government
agency
official who they serve under
or the governing body of the local agency that employs them,
and that is entered into after January 1, 2027, void and unenforceable.
The bill would require a local agency official in violation of a prescribed provision to, among other things, disclose the existence of the nondisclosure agreement, as specified, and would provide that these requirements imposed on a local agency official also apply to a local agency official acting in their official capacity who
entered into, or requested that another individual enter into, a nondisclosure agreement described above before January 1, 2027.
The bill would provide an exception for nondisclosure agreements, or portions thereof, that prevent only the disclosure of trade secrets, financial information, or proprietary information, as specified. The bill would define “local government official” for its purposes to mean any public official serving on behalf of a city, county, local agency formation commission, special district, or local educational agency, as specified, and would exempt from its provisions a local government official serving on behalf of a charter city or charter county.
The California Constitution requires the state to reimburse local agencies and school
districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Current Bill Text

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